Magnesium Salts Business Development for Industrialization
Mineral Exploration:
forming a pattern of diversified raw materials

The industrial magnesium compounds are widely used in the sectors of refractory materials, building coatings, rubber, plastics, coatings, papermaking, inks, electronic appliances, foodstuffs, pharmaceuticals and polymer flame retardants, and also used in environmental protection efforts such as flue gas desulfurization, treatment of acid-containing waste water, taking lead from waste waters, decolorizing waste water from dying processes.
   Magnesium resources, the main raw materials for the magnesium industry, include three varieties - magnesium-containing nonmetal minerals, soluble magnesium salts and magnesium recovered as a byproduct from the metallurgy and chemical industries. In China the magnesium-containing minerals dominate other two sources. This family includes brucite (mainly containing Mg(OH)2), magnesite (MgCO3, China's reserves rank first worldwide), forsterite (Mg2SiO4), hydromagnesite (3MgCO3·Mg(OH)2·3H2O, discovered in recent years), serpentine (Mg6Si4O10(OH)8), talc (3MgO·4SiO2·2H2O, China's reserves rank second worldwide), attapulgite (Mg5Si8O2)(OH)2(OH)4), dolomite (MgCO3·CaCO3, of which China has reported reserves of 4 billion tons), bischofite (MgCl2·6H2O), langbenite (2MgSO4·K2SO4), kieserite (MgSO4·KCl·3H2O) and carnallite (KMgCl3·6H2O). China is net exporter of talc and dolomite, and a net importer of carnallite. In 2008, China exported 693.7 thousand tons of talc and 935.8 thousand tons of dolomite, and imported 109.7 thousand tons of carnallite.  
    In recent years, the development of soluble magnesium salts has increased year by year. So now, China can annually produce more than 4 million tons of bittern - a byproduct after extracting sodium chloride from sea water. Qinghai Salt Lake holds a magnesium chloride reserve of around 6.5 billion tons and the salt lake in Yuncheng of Shanxi province contains 10.5 million tons of magnesium sulfate. Therefore the proportion of China's magnesium consumption now coming from soluble magnesium salts is approaching that of magnesium-containing nonmetal minerals. Moreover, the promotion of a recycling economy stimulates the recovery and reutilization of byproduct magnesium salts. The development pattern of three sources tends to balance.

Exports went down

China is one of the biggest consumers and producers of magnesium compounds in the world. China's annual output is the world's largest. Like other industries, China's magnesium salt sector has the shortcomings of low quality, small companies and high energy consumption, all of which have impacts on the sector's development speed.
   Many of Chinese magnesium salts producers are export-oriented. The economic downturn that began in 2008 has had serious impacts on their operations. Some of them had to idle their units in 2009. The first half of 2009 was the most serious period. The recovery in the second half partially offset the drop.
   China also exported magnesium borate, magnesium fluoride, magnesium nitrate and other magnesium-containing compounds, and other fine and elaborate magnesium products. But the export data are not reliable enough for making business decisions.

China's magnesium salt exports in 2008-2009    (thousand tons)
                   Imports      Exports      Imports      Exports
                  in 2008       in 2008      in 2009       in 2009
Magnesium oxide     11.57       1 016.63        8.74        568.00
Magnesium carbonate    0.68         3.161             0.598       2.636
Magnesium hydroxide/peroxide    1.17    12.03    1.70         22.22
Magnesium chloride    0.51        95.59           0.23        87.78
Magnesium sulfate    0.08        329.71          0.14        247.21



Expansions

China has around 50 companies producing light magnesium oxide, light calcined magnesium carbonate and synthetic magnesium hydroxide, with capacities between 500 t/a and 2 000 t/a. Most of them use old equipment, outdated technology, poor automation, high consumption of energy and materials, heavy pollution, bad economic performance and fragile anti-risk ability. Several leading companies such as Shanghai SIIC Zhentai Chemical Co., Ltd., Yuncheng Yaxing Environmental Protection Technology Co., Ltd., Xiangxi Hexin Nanometer Materials Co., Ltd.(30 000 t/a magnesia) and Xingtai City Magnesium God Chemical Co. have expanded their capacity to over 10 thousand t/a with advanced equipment and updated technologies.

Plans, Expansions and New Projects Status in China

   Company
    Status      Product     Capacity    Routine     Remarks
                            (thousand t/a)
Shanghai SIIC Zhentai Chemical Co., Ltd.
    expansion    magnesia for electric purpose    20.0    elaborating MH and CM    -
Yuncheng Yaxing Environmental Protection Technology Co., Ltd.
     expansion    CM series    16.0    elaborating MH    -
Xingtai City Magnesium God Chemical Co.
     expansion    CM series    7.0    elaborating MCa and MH    -
Xiangxi Hexin Nanometer Materials Co., Ltd.
      expansion    CM series    3.0    carbonization of dolomite    first phase
       expansion    pure magnesium    1.0    pidgeon process    -
Hubei Degao Magnesium Industry Co., Ltd.
      new    CM    3.0    carbonization of dolomite    launched in May 2009
     new    MCa    5.0    carbonization of dolomite    scheduled for start up in Q1 of 2010
Shandong Kllon Chemical Co., Ltd
     new    CM series    8.0    elabora